LIC MF Money Market Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

LIC MF Money Market Fund Direct Growth Plan is at ₹1,303.3368 as of 16 September 2026, with scheme AUM of ₹4,215 Cr. Its 1-year, 3-year and 5-year returns are 6.69%, 6.81% and 0%, and the fund sits in the Balanced Risk category.

Our view is that this is a steady debt fund for investors who want short-duration money-market exposure with relatively contained movement and a portfolio built mainly around CDs, CPs and select government paper. The recent return pattern is stable, but the lack of a meaningful 5-year history means the fund is better assessed on its shorter track record and portfolio quality than on long-horizon compounding.

Quick facts

Particular	Details
NAV	₹1,303.3368 as of 16 Sep 2026
AUM	₹4,215 Cr
Expense Ratio	0.19%
Launch Date	01 Aug 2022
Min SIP	₹200
Risk Category	Balanced Risk
Benchmark	Nifty 50
Fund Category	Debt
Exit Load	No exit load
Fund Managers	Rahul Singh, Pratik Shroff

The fund is managed by Rahul Singh and Pratik Shroff.

Source data date: as of 16 Sep 2026

Performance

Period	Fund return	Benchmark return
1M	0.51%	-4.41%
3M	1.88%	-3.6%
1Y	6.69%	-7.76%
3Y	6.81%	5.74%
5Y	Data not available	Data not available

In the short run, the fund has held up well while the benchmark has been weak. The 1-month and 3-month numbers are positive for the fund, while the benchmark figures are negative, so the gap is clearly in the fund’s favour over recent periods.

The longer view is more mixed. Over 1 year, the fund’s 6.69% return remains solid, and over 3 years it has produced 6.81%, but the benchmark comparison matters: the benchmark’s 3-year return is lower at 5.74%, yet the 1-year benchmark number is deeply negative. That tells us the fund has been more stable than the benchmark, especially in the recent period.

The time pattern also looks smoother than what the benchmark has shown. The fund has not delivered large jumps, but it has kept a gradual upward trend over 1 year and 3 years, which suits a money-market style allocation. Because the 5-year return is not available, we would treat this as a fund with a credible short- to medium-term record rather than a long-cycle compounding story.

Source data date: as of 16 Sep 2026

Should you BUY or HOLD LIC MF Money Market?

A fund's past returns alone don't tell you whether you should buy it today or continue holding it.

The right decision depends on factors such as your current allocation, purchase price, risk profile, investment horizon and the role this fund plays in your overall portfolio.

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Peer comparison

Fund	1Y return	3Y return	5Y return
Union Money Market Fund Direct Growth Plan	6.82%	7.23%	6.48%
Bank of India Money Market Fund Direct Growth Plan	6.7%	Data not available	Data not available
Tata Money Market Fund Direct Growth Plan	6.69%	7.53%	6.84%
LIC MF Money Market Fund Direct Growth Plan	6.69%	6.81%	Data not available
Bandhan Money Market Fund Direct Growth Plan	6.68%	7.42%	6.67%

This assessment is prepared by Uniapps Investment Adviser Pvt. Ltd. under SEBI Registered Investment Adviser registration INA000017639.

On the latest 1-year return, this fund sits close to the peer set, with Union Money Market Fund Direct Growth Plan slightly ahead and Bank of India Money Market Fund Direct Growth Plan and Tata Money Market Fund Direct Growth Plan also in the same narrow range. The spread across the group is tight, so the fund’s recent figure looks competitive rather than distinct.

Over 3 years, the fund’s 6.81% is below the available 3-year returns of Union, Tata and Bandhan. That suggests its medium-term pace has been a little slower than the stronger peer figures we can compare it with. The 5-year comparison is less complete because this fund does not have a usable 5-year figure, so the longer-view discussion is more useful for the peers than for this scheme.

So the short-term and longer-term peer comparisons tell somewhat different stories: recent performance is broadly in the same band as peers, while the 3-year record trails the better available peer numbers. For an investor, that usually means the fund looks steady, but not obviously superior on a multi-year basis.

Source data date: as of 16 Sep 2026

Portfolio: where your money goes

Holding	Sector	Weight
Indian Bank ** #	Certificate of Deposit	6.92%
ICICI Securities Ltd. **	Commercial Paper	6.33%
National BK for Agriculture & Rural Dev. ** #	Certificate of Deposit	5.18%
Canara Bank #	Certificate of Deposit	4.76%
National BK for Agriculture & Rural Dev. #	Certificate of Deposit	4.59%
Indostar Capital Finance Ltd. **	Commercial Paper	4.55%
ICICI Bank Ltd. #	Certificate of Deposit	4.04%
Small Industries Development BK of India #	Certificate of Deposit	4.01%
Small Industries Development BK of India ** #	Certificate of Deposit	3.97%
6.58% State Government of Gujarat	Government Securities	3.67%

The top 10 holdings account for approximately 48.02% of the portfolio.

To see all holdings, visit the LIC MF Money Market Fund Direct Growth Plan page

The largest holding is Indian Bank ** # at 6.92%, so no single position dominates the portfolio. The tenth holding is 6.58% State Government of Gujarat at 3.67%, which shows a moderate drop from the first row to the tenth, but not a dramatic one.

Because the displayed holdings together make up 48.02% of the portfolio, the disclosed book is spread across a fairly long tail of positions beyond the top 10. With 35 holdings in total, the fund may be using diversification across money-market instruments rather than leaning too heavily on one issuer or one security type.

That mix could help keep position-level shocks more contained, although the fund still has meaningful exposure to certificates of deposit and commercial paper among the biggest names. Our view is that the portfolio looks reasonably spread for a money-market strategy, with enough concentration in the top slice to matter, but not enough to suggest a very narrow book.

Source data date: as of 16 Sep 2026

Who should invest

This fund may suit investors who are comfortable with a low-to-moderate risk debt allocation and want a product that has shown stable short-term behaviour. The 1-year and 3-year returns are steady, and the benchmark comparison suggests the fund has been more controlled than the benchmark over the recent period.

The main trade-off is that the fund does not show a strong long-term return history beyond 3 years in the visible record, so it is better viewed as a short-horizon cash-management or parking-style option within a broader fixed-income allocation. Investors who want smoother movement and can accept returns that are modest rather than aggressive may find the profile suitable.

Tax and exit load

Holding period	Tax rate	Description
Units held less than 1 year	20%	Short-term capital gains tax
Units held more than 1 year	12.5%	Long-term capital gains tax

Exit load: No exit load.

Source data date: as of 16 Sep 2026

Frequently asked questions

What is the current NAV of LIC MF Money Market Fund Direct Growth Plan?
The current NAV is ₹1,303.3368 as of 16 September 2026.

What are the fund’s 1-year, 3-year and 5-year returns?
The fund’s 1-year return is 6.69%, the 3-year return is 6.81%, and the 5-year return is not available in the visible record.

How has the fund compared with the benchmark?
It has done better than the benchmark over the recent periods shown. The fund’s 1-month, 3-month and 1-year returns are positive, while the benchmark’s figures for those same periods are negative.

How does it compare with peer funds on available return data?
Its 1-year return is in the same narrow band as the peer group, but the available 3-year figures for several peers are higher. The 5-year comparison is incomplete because this fund does not show a usable 5-year return.

What is the minimum SIP amount?
The minimum SIP amount is ₹200.

Who manages the fund and what is the exit load?
The fund is managed by Rahul Singh and Pratik Shroff. There is no exit load.

Bottom line

LIC MF Money Market Fund Direct Growth Plan has a steadier near-term profile than its benchmark and sits in a tight peer band on 1-year returns. Its 3-year record is still respectable, though some peers have posted stronger medium-term numbers. The portfolio is built around CDs, CPs and a smaller government-securities slice, which fits a money-market style approach. Overall, it looks more suitable for investors seeking stability and relatively contained movement than for those looking for standout long-term return acceleration.

Published on 17 September 2026 at 3:50 PM IST

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RIA disclosure

Mutual fund investments are subject to market risks. Read all scheme-related documents carefully before investing. This review is prepared by Uniapps Investment Adviser Pvt. Ltd. (earlier known as Uniapps Global Research Pvt. Ltd.) under SEBI Registered Investment Adviser registration INA000017639 for general informational purposes and is not personalized investment advice.